Quote from: phillipsjk on July 22, 2011, 12:29:11 AM

Bitcoin may not be a "Foreign Currency" because it is not backed by any world government.

Bitcoin may not be a "Virtual currency" (Banned in China for the purchase or real goods) because is is not backed by any one issuer that can provide virtual goods and services, and is not pegged to a specific exchange rate.

Following the link you provide, I note that China has banned the use of virtual currency for the purchase of real goods, as you report, but that it also restricts the use of virtual currency to virtual goods provided by the issuer of the currency, and thus Bitcoin is effectively banned in China. You suggest that the definition of a virtual currency includes that it is backed by one issuer that can provide goods and services and that it is pegged to a specific exchange rate. Do you have a reference for that definition as a general rule, or are referring to China only and extrapolating from the link?

Thanks!